SARS New Administrative Penalties Take Effect Regulations prescribing administrative penalties for non-compliance have been gazetted.Section 75B of the Income Tax Act No. 58 of 1962 is applicable.The penalties are based on the taxpayer’s taxable income for the year of assessment immediately prior to the year in which offence took place.Further information on the penalties and application has been provided by SAICA and is available on www.taxtalk.co.za
VAT Registration Rejected VAT registrations are being rejected by SARS where it is found that any of the director’s affairs of the entity wishing to register are not in order.For example, where the director’s personal income tax is not up to date, the VAT registration will be rejected. Further note that the entity being registered and any entity connected to the directors of the entity being registered must also be up to date with regard to its corporate tax affairs and PAYE obligations. This is important with regard to dormant shelf companies which are bought,where it is often found that there are outstanding tax returns due.Further information on VAT registrations has been provided by Deloitte& Touche and is available in its VAT FLASH 2 of 2009 posted on TAXtalk website www.taxtalk.co.za
Corporate Governance Key Changes From King II to King III King III reaffirms South Africa’s pride of place as a world leader incorporate governance, says Ewald Müller, senior executive: standards at the South African Institute of Chartered Accountants (SAICA). Müller pinpointed the principal areas of difference between King II and King III, noting that the changes invariably enhanced the role and importance of corporate governance, reflecting as they did the ‘new reality’ occasioned by recent corporate and financial upheavals. The IoD has compiled a detailed table reflecting the key changes from King II to King III. The completed document is available and has been published on the TAXtalk website for your guidance www.taxtalk.co.za.The information and article is provided by The SA Institute of Chartered Accountants.
Section 240A of the Tax Administration Act, 2011 (as amended) requires that all tax practitioners register with a recognized controlling body before 1 July 2013. It is a criminal offense to not register with both a recognized controlling body and SARS.